Crisis mode: World stocks skidded lower today as Spain's regional governments topple into insolvency
World Shares Dive And Euro Battered To 11-Year Low As Spanish Government Stares Into Financial Abyss -- Daily Mail
* FTSE 100 index of leading shares down 2% as Spain bans short-selling of shares to stem stock market losses
* French and German markets down 3%
* Shares plunge on Wall Street open: Dow Jones falls 1.8%
* Euro falls to 11-year low against the yen and two-year low versus US dollar
* More Spanish regional governments expected to call on central government for help, sparking fears Spain will need full bailout
* Spanish sovereign borrowing costs soar to crisis levels: 10-year bond yields at 7.5%, unsustainable in medium term
The London stock market fell sharply into the red today and the euro hit an 11-year low against the yen as fears mounted that Spain could be on the verge of insolvency.
Markets went into crisis mode after the Spanish region of Murcia yesterday went to the central government for a bailout - following Valencia, which took the same step on Friday.
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My Comment: Thomas Pascoe makes the case that France is next.